In a constantly changing market beset by economic uncertainties, we are constantly seeing a shift in the demands, attitudes and preferences of our consumers. What they find acceptable today, may not be so in six months time. Keeping abreast of customer preferences and motivations is fundamental to marinating business growth and identifying diversification. To survive in this market, successful businesses are likely to be ones that are not only one step ahead of the game, but who recognise and don’t just pay lip service to the merits of customer insight.
Gathering Information is a start point, but how information is used is a crucial step in turning information into insight. It is about uncovering information on competitors, pinpointing market trends, revealing economic shifts, and clearly identifying and measuring buying habits among groups of people who share certain characteristic.
How it helps
Market research helps business in a variety of ways.
- When reviewing new business ventures, market research is the component that determines if there is a demand/need in the market place for a new product/service. This information is often used to make decisions when developing and testing new business models.
- Market research is a widely recognised tool used by established businesses. the analysis of a market research helps to uncover opportunities, and identify new types of products that would likely be met with enthusiasm and profitability. Investment in research upfront pays dividends in shaping a new products services - it moves towards ‘what customers want’, rather than ‘what we think they want’.
- Clarification on changing customer perceptions (yes… customers are fickle and unpredictable), market research assists businesses in refining their marketing efforts, so they will specifically identify with their target markets –they can then communicate with them using the right media and message.
- Carrying out research will often allow you to benchmark your businesses performance against others in their industry, identifying room for improvements or simply proving that what they are doing is right –or competitors are doing it wrong!
Size does not matter
In our experience we come across many small-business owners that see market research as the domain of large business interests with huge budgets, however, this is not necessarily the case. Businesses of any size can conduct market research, even if they do not have the budget to hire an external agency to conduct it for them.
Conducting market research can be as simple as asking customers to complete brief surveys via email, or asking social network followers to vote on a poll. It’s also a great tool for customer ‘engagement’.
No fear
Many organisations simply ‘fear’ negative feedback – and sometimes will avoid any type of engagement with their customers that comes under the banner of “customer satisfaction”.
Let`s just say LOUD and CLEAR: if something is wrong with the product or service you are providing as a business – wouldn’t you rather know, and fix it, rather than assume all is well because no one is complaining…maybe because no one is asking. Once you fix it – you can not only be perceived as listening to your customers, but the feedback can directly feed in to you ‘reactive’ marketing and PR strategy.
Dawn Bratcher